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Software as a Service (SaaS) is a model of software deployment where a provider licences an application to customers for using a service on demand.

SaaS is viewed by professionals as a low-cost way to use software when needed rather than licensing applications across all computers. Hardware investment is reduced as the data design and architecture of these applications are specifically built with a multi-client background, enabling multiple users to access and share data.

Characteristics of SaaS software include:
  • activities are managed from central locations rather than at each customers site, enabling access to the applications remotely via the web
  • application is delivered on a one-to-many model rather than a one-to-one model
  • centralised feature updating removes the need for users to download upgrades
  • flexible integration into a wide range of 3rd party software
SaaS applications are generally priced on a per-user basis, with additional fees for extra bandwidth and storage. SaaS revenue streams to the vendor are therefore lower initially than traditional software licence fees, but are also recurring, and therefore viewed as more predictable.

Several changes in the way people work have made SaaS more acceptable:
  • Most people have easy access to computers and are familiar with web interfaces, resulting in a low learning curve for new applications
  • Pressure on reducing overheads. Outsourcing IT systems reduces salaries, liability and physical building space
  • Web systems show reliability and security is well trusted. Online banking is an example of delivering business functions and client services to end users
  • Bandwidth of wide-area networks has grown drastically following Moore's Law (more than 100% increase in 24 months) and is reaching slow local networks bandwidths

System Requirements



2GB RAM

1 Mb/sec internet connection

Mac (OSX 10.4 or newer)
Windows (XP, Vista or 7) or Linux

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